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US Court Blocks $100,000 Skilled Visa Fee Introduced Under Trump

(MENAFN) A federal court in the United States has reportedly struck down a policy introduced during Donald Trump’s presidency that imposed a $100,000 charge on certain skilled-worker visa applications, ruling that the executive branch lacked the legal authority to enforce such a measure without congressional approval.

The fee had targeted new H-1B visa petitions filed for foreign workers located outside the United States. This visa category allows American employers to hire highly skilled professionals from abroad for a period of up to six years and is subject to an annual cap of 65,000 visas, with an additional 20,000 reserved for applicants holding advanced degrees. The program is widely used by major technology firms.

The policy was introduced as part of an effort to curb what was described as misuse of the system, with claims that some companies rely on it to replace domestic workers with lower-paid foreign employees. As stated by reports, the measure was framed as a way to safeguard American jobs and strengthen national security.

However, a federal judge ruled in favor of a coalition of 20 states that challenged the decision, concluding that the administration’s action exceeded its legal authority. The judge reportedly stated that the charge functioned as a tax “regardless of what the payment is called,” and therefore required congressional authorization.

The Department of Homeland Security criticized the ruling, describing it as “blatant judicial activism,” and maintained that the fee had been designed to protect American workers and prevent exploitation of employment-based visa systems.

The legal challenge was led by California and supported by several other states, which argued that the fee was unlawful and would negatively affect institutions such as universities, hospitals, and schools that depend on skilled foreign labor.

The H-1B program remains a long-standing point of debate in US policy discussions. Supporters view it as essential for filling specialized labor shortages, while critics argue it can suppress wages and disadvantage domestic workers by enabling companies and staffing agencies to hire cheaper foreign talent.

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